Australia's Element 25 soars on manganese sulphate offtake deal with GM

Element 25

26/06/2023 01:32

** Shares of Element 25 Ltd  E25.AX  soar as much as 23.3%
to A$0.74, posting their biggest intraday pct gain since July
19, 2022
    ** E25 to supply manganese sulphate to General Motors Co
 GM.N  from a new facility in Louisiana
    ** GM will buy up to 32,500 tonnes of manganese sulphate per
annum from E25 over a seven-year period
    ** E25 expects to invest about $290 mln in total to build
the facility, and it is scheduled to open in 2025
    ** GM will provide Element 25 with an $85 mln loan to
partially fund construction of the facility
    ** E25 stock hits its highest level since May 9
    ** About 560,000 shares change hands, vs the 30-day average
volume of ~126,000 shares
    ** E25 down 31.8% YTD, as of last close
    

 (Reporting by Harish Sridharan in Bengaluru)
 ((harish.sridharan@thomsonreuters.com))